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MNO3703 ASSIGNMENT 1 SEMESTER 1 2026 bm Question 1: Quality Customer Service (Apply) Using principles of customer-focused quality management, explain how Auto Tech Manufacturing Ltd. can improv

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MNO3703 ASSIGNMENT 1 SEMESTER 1 2026 bm Question 1: Quality Customer Service (Apply) Using principles of customer-focused quality management, explain how Auto Tech Manufacturing Ltd. can improve its customer service to address the complaints described in the case scenario. (5 Marks) Question 2: Quality Organisational Structures (Analyse) Analyse how the organisational structure at Auto Tech may be contributing to its quality problems and explain how it should be redesigned to support quality improvement. (5 Marks) Question 3: EFQM Excellence Model (Analyse) Analyse how the EFQM Excellence Model could assist Auto Tech in achieving operational excellence. (5 Marks) Question 4: Cost of Quality (Apply) Using examples from the case scenario, explain how the concept of Cost of Quality applies to Auto Tech. (5 Marks) Question 5: Digitalisation and Quality Management (Analyse) Analyse how digitalisation could support AutoTech’s quality management initiatives. (5 Marks) Question 6: Failure Mode Effect and Criticality Analysis (Apply) Explain how the implementation of Failure Mode Effect and Criticality Analysis (FMECA) could improve production reliability at Auto Tech. (5 Marks) Question 7: Benchmarking (Analyse) Analyse how benchmarking can help Auto Tech identify performance gaps compared to industry leaders. (5 Marks) Question 8: Supplier Partnerships (Apply) Using the case scenario, explain how supplier partnerships could improve Auto Tech’s quality performance.

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THE BMZ ACADEMY




THE BMZ ACADEMY




053 8213

BMZ ACADEMY 061 262 1185/068 053 8213Page 1 of 37

, THE BMZ ACADEMY
Table of Contents
SECTION A ................................................................................................................ 4

Section B .................................................................................................................... 8

Question 1 .................................................................................................................. 8

The Role of Total Quality Management (TQM) in Improving Organisational
Competitiveness ......................................................................................................... 8

Question 2 ................................................................................................................ 10

Application of Benchmarking to Improve Operational Performance in a Manufacturing
Organisation ............................................................................................................. 10

Question 3 ................................................................................................................ 11

The Importance of Quality Costing Systems in Organisational Decision-Making ..... 11

Question 4 ................................................................................................................ 13

The Role of Leadership in Creating a Culture of Quality within an Organisation ...... 13

Question 5 ................................................................................................................ 15

The Role of Digitalisation in Strengthening Quality Management Systems .............. 15

SECTION B .............................................................................................................. 18

Question 1: Quality Customer Service (Apply) ......................................................... 18

Improving Customer Service at Auto Tech Manufacturing Ltd. Using Customer-
Focused Quality Management ................................................................................. 18

Question 2: Quality Organisational Structures (Analyse) ......................................... 20

Organisational Structure and Its Influence on Quality Problems at Auto Tech ......... 20

Question 3: EFQM Excellence Model (Analyse) ...................................................... 22

Using the EFQM Excellence Model to Achieve Operational Excellence at Auto Tech
................................................................................................................................. 22

Question 4: Cost of Quality (Apply) .......................................................................... 24

Question 5: Digitalisation and Quality Management (Analyse) ................................. 25

Question 6: Failure Mode Effect and Criticality Analysis (Apply) .............................. 27

Question 7: Benchmarking (Analyse) ....................................................................... 28
BMZ ACADEMY 061 262 1185/068 053 8213Page 2 of 37

, THE BMZ ACADEMY
Question 8: Supplier Partnerships (Apply) ............................................................... 30

Question 9: Performance Measurement Framework (Analyse) ................................ 31

Question 10: Continuous Improvement and Quality Auditing (Evaluate) .................. 33

References ............................................................................................................... 35




BMZ ACADEMY 061 262 1185/068 053 8213Page 3 of 37

, THE BMZ ACADEMY
SECTION A

1. B. Benchmarking Benchmarking is the continuous, systematic process of
identifying, understanding, and adapting best practices and processes from
industry leaders to achieve superior performance. By comparing its own defect
rates and cycle times against the standards of the "best-in-class," a firm can
establish realistic "stretch goals" and identify the specific "process enablers"
required to close performance gaps.
2. D. Prevention costs Prevention costs are those associated with the design,
implementation, and maintenance of a quality management system to ensure
that products or services are "done right the first time". Investing in employee
training, quality planning, and proactive process improvements are classic
examples of prevention-based strategies aimed at eliminating the root causes
of potential defects.

3. A. Self-assessment Self-assessment is a comprehensive, structured review
of an organisation's activities and results against a recognised excellence
framework, such as the EFQM Excellence Model or the Baldrige Criteria. This
process allows management to identify specific "gaps" between current
performance and world-class standards to prioritise improvement opportunities.

4. B. Translate customer needs into technical specifications Quality Function
Deployment (QFD) is a structured methodology designed to listen to the "voice
of the customer" and systematically translate their requirements into specific
technical requirements for every stage of product design and development. This
ensures that the final product or service is built around true customer
expectations rather than purely technological innovation.

5. D. External failure costs External failure costs occur when products or
services fail to meet quality standards but the defects are not detected until after
the product has reached the customer. Common examples include warranty
claims, product returns, and the resulting loss of organisational goodwill and
reputation.




BMZ ACADEMY 061 262 1185/068 053 8213Page 4 of 37

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